President William Ruto has announced that all government employees will be the first to be subjected to a mandatory salary deduction of 3% as contributions towards affordable housing.
The President made the announcement while attending a ceremony at Friends Church (Quakers) in Donholm, Nairobi, indicating that the deductions are meant to raise mortgages from 40,000 to 2,000,000.
Ruto said that employers will be required to save 3% more in addition to the 3% required by law, totaling 6% of the amount they will be deducted.
“As a government we will be at the forefront in implementing this. For all employees of the government, approximately 700,000, we will be saving 3% for them after they have made their own 3% contribution,” he announced.
The president’s announcement comes at a time when Kenyans are grappling with the high cost of living as civil servants threaten to strike due to the delay of salaries.
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